An Act respecting the making of loans and the provision of other forms of financial assistance to students, to amend and provide for the repeal of the Canada Student Loans Act, and to amend one other Act in consequence thereofCanada Student Financial Assistance ActCanada Student Financial Assistance19946
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S-22.7281994Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:Short Title
Short titleThis Act may be cited as the Canada Student Financial Assistance Act.
Interpretation
DefinitionsIn this Act,appropriate authority, in respect of a province, means an appropriate authority designated for the province pursuant to subsection 3(1); (autorité compétente)designated educational institution means an institution of learning designated pursuant to subsection 3(1), and includes a specified educational institution within the meaning of the Canada Student Loans Act; (établissement agréé)lender means a financial institution within the meaning of the Bank Act or other corporation that is a party to an agreement with the Minister entered into under section 5; (prêteur)Minister means such member of the Queen’s Privy Council for Canada as may be designated by the Governor in Council as the Minister for the purposes of this Act; (ministre)prescribed, in the case of a form or the information to be given on a form, means prescribed by the Minister and, in any other case, means prescribed by the regulations; (Version anglaise seulement)qualifying student means a personwho is a Canadian citizen, a person registered as an Indian under the Indian Act, a permanent resident as defined in subsection 2(1) of the Immigration and Refugee Protection Act or a protected person within the meaning of subsection 95(2) of that Act,who is qualified for enrolment or is enrolled at a designated educational institution as a full-time student or part-time student for a period of studies at a post-secondary school level, andwho intends to attend a designated educational institution as a full-time student or part-time student for a period of studies described in paragraph (b) if it is financially possible for that person to do so. (étudiant admissible)Other definitionsIn this Act, the words and expressions “borrower”, “consolidated student loan agreement”, “course”, “dental hygienist”, “dentist”, “early childhood educator”, “family income”, “family physician”, “financial assistance”, “full-time student”, “loan year”, “midwife”, “nurse”, “nurse practitioner”, “part-time student”, “period of studies”, “personal support worker”, “pharmacist”, “physiotherapist”, “post-secondary school level”, “program of studies”, “psychologist”, “severe permanent disability”, “social worker”, “student loan”, “student loan agreement”, “teacher” and “underserved rural or remote community” have the meanings assigned by the regulations.Words and expressions in relation to previous loan yearsWords and expressions used in this Act have, when used in respect of a loan year before the loan year in which this section comes into force, the meanings assigned to them by the Canada Student Loans Act.Electronic documents and communicationA document or other communication under this Act or the regulations may be in electronic form, and a reference in this Act or the regulations to a document includes a document in electronic form.1994, c. 28, s. 2; 2001, c. 27, s. 219; 2003, c. 15, s. 9; 2008, c. 28, s. 101; 2011, c. 24, s. 152; 2017, c. 20, s. 1162024, c. 17, s. 158
Appropriate Authorities
Designation of appropriate authoritiesFor the purposes of this Act, the Minister may, by order, designate for a provincean appropriate authority, which authority may designate as designated educational institutions any institutions of learning in Canada that offer courses at a post-secondary school level, or any class of such institutions; andan appropriate authority, which authority may designate as designated educational institutions any institutions of learning outside Canada that offer courses at a post-secondary school level, or any class of such institutions.Revocations and exclusionsAn appropriate authority may revoke any designation made by it under subsection (1), and any designation made in respect of the province under the Canada Student Loans Act and, in the case of a designation of a class, may exclude any named institution from that designation.
AgreementsThe Minister may enter into an agreement with an appropriate authority, or with an appropriate authority and the government of the province for which the authority was designated, respecting the exercise or performance of any of the authority’s powers, duties or functions under this Act or the regulations.DirectivesThe Minister may give directives to any appropriate authority respecting the exercise or performance of any of its powers, duties or functions under this Act or the regulations, and such directives are binding on the appropriate authority.Statutory Instruments ActThe Statutory Instruments Act does not apply in respect of directives given under subsection (2).
Agreements with Lenders
AgreementsThe Minister may, if the Minister considers it appropriate, with the concurrence of the Minister of Finance, enter into an agreement with any lender respecting the making of student loans or the provision of other forms of financial assistance to students by the lender, and such an agreement may, without limiting the generality of the foregoing, provide forthe payment by the Minister to the lender of all or a portion ofamounts equivalent to interest on a student loan made by the lender in respect of the period before April 1, 2023 for which no interest is payable by the borrower under subsection 7(1), as it read from time to time before April 1, 2023,amounts equivalent to interest on a student loan made by the lender in respect of any period for which no interest is payable by the borrower under regulations made under paragraph 15(1)(n), as that paragraph and those regulations read from time to time before April 1, 2023,principal and interest on a student loan made by the lender to a borrower whose obligations in respect of the loan are terminated in the circumstances set out in section 10 or 11,amounts in respect of a student loan made by the lender that are paid under regulations made under paragraph 15(1)(l),a risk premium for lending risks on a student loan made by the lender,amounts necessary for the purchase of a student loan made by the lender that is payable and on which no payment has been made by the borrower in at least one year, and a percentage of amounts recovered by the Minister in respect of that loan,adjusted amounts in respect of principal and interest on a student loan, where an inadvertent error concerning the rate of interest or the amount to be repaid is made by the lender in drawing up the consolidated student loan agreement or the student loan agreement,amounts in respect of the loss suffered by the lender on a student loan made to a full-time student who, before the month following the month in which the borrower ceases to be a full-time student,makes an assignment under the Bankruptcy and Insolvency Act that is filed and not cancelled, is deemed under that Act, by reason of circumstances occurring before that following month, to have made an assignment, or is the subject of a bankruptcy order made under that Act,makes a proposal under Division I or II of Part III of that Act that is approved or deemed to be approved by a court under that Act,is granted a consolidation order under Part X of that Act, oris granted relief under a provincial law relating to the orderly payment of debts, andany other amounts that the Minister considers appropriate in respect of a student loan made, or other financial assistance provided, by the lender;audits and adjustments in respect of payments made to the lender by the Minister;subject to the regulations, the circumstances in which the lender is, on application, required to provide financial assistance to a qualifying student in an amount not exceeding the maximum amount determined in accordance with section 12;[Repealed, 2022, c. 19, s. 155]the repayment of student loans by borrowers or classes of borrowers on an income-contingent basis;the provisions to be included in an agreement between a borrower and the lender relating to a student loan, the making of amendments to the agreement, and the conditions and consequences of making an amendment;the procedures to be followed by the lender in making, collecting or otherwise dealing with a student loan;the making of reports to the Minister respecting student loans; andthe terms and conditions respecting the obligations of the Minister and the lender under the agreement.1994, c. 28, s. 5; 2004, c. 25, s. 191; 2008, c. 28, ss. 102, 110; 2009, c. 2, s. 358(E)2022, c. 19, s. 155
Payments in accordance with agreementSubject to this Act and the regulations, the Minister shall pay to a lender, in accordance with any agreement entered into under section 5, any amount that is payable by the Minister to the lender under the agreement.
Government Financing of Student Loans
Agreements with qualifying studentsSubject to subsection (2), the Minister, or any person authorized by order of the Minister to act on the Minister’s behalf, may enter into an agreement with any qualifying student for the purpose of making a student loan.Financial terms and conditionsAny terms and conditions in the agreement that could have a financial impact on Her Majesty in right of Canada are subject to approval by the Governor in Council, on the recommendation of the Minister with the concurrence of the Minister of Finance.2000, c. 14, s. 17; 2009, c. 2, s. 359
Agreement with service providerThe Minister may enter into an agreement with any corporation incorporated under the laws of Canada or a province and carrying on business in Canada (a “service provider”), respecting the administration of student loans made, or other forms of financial assistance provided, by the Minister. An agreement may provide for, but is not limited to, the following matters:disbursing student loans or other forms of financial assistance on behalf of the Minister;audits and adjustments in respect of payments made by the Minister under the agreement;the manner of calculating the interest payable by the Minister to the service provider, including the amount on which interest is to be calculated and the rate of interest or the manner of determining the rate of interest;the procedures to be followed by the service provider in making, collecting or otherwise dealing with a student loan and other forms of financial assistance;the making of reports to the Minister respecting student loans and other forms of financial assistance;the terms and conditions respecting the obligations of the Minister and the service provider under the agreement; andthe payment of compensation by the Minister to the service provider for the administration of student loans and other forms of financial assistance.Receipt and Deposit of Public Money Regulations, 1997Despite section 3 of the Receipt and Deposit of Public Money Regulations, 1997, the portion of the following money that is public money and is collected or received electronically by a service provider that has entered into an agreement under subsection (1) shall be paid to the credit of the Receiver General by depositing it, within two business days after the day of collection or receipt, in an account established under subsection 17(2) of the Financial Administration Act:money collected or received as repayment of financial assistance, as repayment of a guaranteed student loan as defined in subsection 2(1) of the Canada Student Loans Act or as payment of interest owing on that assistance or loan; andinterest received by the service provider on the money referred to in paragraph (a).Meaning of business dayIn this section, business day means a day other than a Saturday or a holiday.2000, c. 14, s. 17; 2008, c. 28, s. 103
Agreement with financial institutionsDespite subsection 41(1) of the Financial Administration Act, the Minister may enter into an agreement with any financial institution, as defined in the regulations, with respect to the disbursement of student loans.2000, c. 14, s. 17
Suspension or denial of financial assistanceThe Minister may suspend or deny the provision of financial assistance to all those who are qualifying students in relation to a designated educational institution if the Minister is satisfied that there are compelling reasons to believe that the provision of the financial assistance wouldfacilitate the commission by the designated educational institution of an offence under this Act or any other Act of Parliament; orexpose the qualifying students or Her Majesty in right of Canada to significant financial risk.2009, c. 2, s. 360
Interest and Periods of Deferral
No accrual of interestBeginning on April 1, 2023, no interest is payable by a borrower on a student loan.ClarificationFor greater certainty, nothing in this section relieves a borrower from liability for interest that accrued before April 1, 2023 on a student loan.No feesNo fee of any kind may be charged to a borrower on a student loan in respect of any period of studies during which the borrower is a full-time or part-time student or in respect of any subsequent period ending onin the case of a student loan that is made to a full-time student, the last day of the sixth month after the month in which the borrower ceases to be a full-time student; andin the case of a student loan that is made to a part-time student, the last day of the sixth month after the month in which the borrower ceases to be a student, whether a part-time or full-time student.1994, c. 28, s. 7; 2008, c. 28, s. 110; 2011, c. 15, s. 182019, c. 29, s. 3252022, c. 19, s. 156
Payment deferred for full-time studentsSubject to the regulations, no amount on account of principal or interest in respect of a student loan prescribed by regulations made under paragraph 15(1)(j) that is made to a full-time student is required to be paid by the borrower until the last day of the seventh month after the month in which the borrower ceases to be a full-time student.Payment deferred for part-time studentsSubject to the regulations, no amount on account of principal or interest in respect of a student loan that is made to a part-time student is required to be paid by the borrower until the last day of the seventh month after the month in which the borrower ceases to be a student, whether a part-time or full-time student.1994, c. 28, s. 8; 2008, c. 28, ss. 104, 110
Agreement to pay interestThe Minister may enter into an agreement with a lender respecting the payment of interest, or a province respecting the payment of interest on provincial student loans, by borrowers who are referred to in a regulation that is made under paragraph 15(1)(k.2).Payment on behalf of reservistIf there is no agreement, the Minister may pay the interest on behalf of those borrowers.1994, c. 28, s. 9; 1998, c. 21, s. 99; 2008, c. 15, s. 22022, c. 19, s. 157
Personal informationPersonal information, as defined in section 3 of the Privacy Act, that is under the control of a government institution, as defined in that section, shall, on request, be made available to the Minister for the purposes of a regulation that is made under paragraph 15(1)(k.1), (k.2) or (k.3).2008, c. 15, s. 22022, c. 19, s. 158
Loan Forgiveness — Underserved Rural or Remote Communities
Portion of loan forgivenThe Minister may forgive an amount in respect of a student loan to a borrower who meets the prescribed conditions and begins to work in an underserved rural or remote community as afamily physician;nurse;nurse practitioner;early childhood educator;dentist;dental hygienist;pharmacist;midwife;teacher;social worker;psychologist;personal support worker; orphysiotherapist.Effective date of forgivenessThe forgiveness takes effect on the prescribed day.AgreementFor the purposes of subsection (1), the Minister may enter into an agreement with a lender for the purchase of a student loan made by the lender.2011, c. 24, s. 1532024, c. 17, s. 160
Period — March 30, 2020 to September 30, 2020
Suspension of interest and paymentsDuring the period that begins on March 30, 2020 and ends on September 30, 2020,no interest is payable by a borrower on a student loan prescribed by regulations made under paragraph 15(1)(j); andno amount on account of principal and interest in respect of a student loan prescribed by regulations made under paragraph 15(1)(j) is required to be paid by the borrower.2020, c. 5, s. 54
Period — April 1, 2021 to March 31, 2023
Suspension of interestDuring the period that begins on April 1, 2021 and ends on March 31, 2023, no interest is payable by a borrower on a student loan.2021, c. 7, s. 72021, c. 23, s. 266
Death or Disability of Borrower
Death of borrowerAll obligations of a borrower in respect of a student loan prescribed by regulations made under paragraph 15(1)(j) terminate if the borrower dies, and in that event the Minister shall pay to the lender the amounts referred to in subparagraph 5(a)(iii).Death of borrower before this subsection in forceIf a borrower dies before this subsection comes into force, then all obligations of that borrower in respect of such a student loan terminate on the day on which this subsection comes into force.1994, c. 28, s. 10; 2009, c. 2, s. 361
Death of borrower — section 6.1 loanAll obligations of a borrower in respect of a loan made under an agreement entered into under section 6.1 terminate if the borrower dies.Death of borrower before this section in forceIf a borrower dies before this section comes into force, then all obligations of that borrower in respect of such a loan terminate on the day on which this section comes into force.2005, c. 30, s. 110
Severe permanent disabilityAll rights of the lender against a borrower in respect of a student loan prescribed by regulations made under paragraph 15(1)(j) terminate if the Minister is satisfied, on the basis of information specified by the Minister and provided by or on behalf of the borrower, that the borrower, by reason of the borrower’s severe permanent disability, is unable to repay the student loan and will never be able to repay it, and in that event the Minister shall pay to the lender the amounts referred to in subparagraph 5(a)(iii).1994, c. 28, s. 11; 2008, c. 28, s. 106
Severe permanent disability — section 6.1 loanAll obligations of a borrower in respect of a loan made under an agreement entered into under section 6.1 terminate if the Minister is satisfied, on the basis of information specified by the Minister and provided by or on behalf of the borrower, that the borrower, by reason of the borrower’s severe permanent disability, is unable to repay the loan and will never be able to repay it.2005, c. 30, s. 111; 2008, c. 28, s. 106
Certificates of Eligibility
Issue of certificatesSubject to the regulations, the appropriate authority for a province designated under paragraph 3(1)(a) may, on application of a qualifying student, issue or cause to be issued a certificate of eligibility in the prescribed form, for a period of studies at a designated educational institution in or outside Canada, to or in respect of the student if that authority considers the studentto have attained a satisfactory scholastic standard; andto be in need of financial assistance.Amount neededWhere the appropriate authority considers that a qualifying student meets the criteria set out in paragraphs (1)(a) and (b), it shall determine the amount the student needs, taking into considerationthe program of studies in which the qualifying student is registered;the cost of books and other course-related supplies; andwhether the qualifying student is enrolled in an institution outside the province of residence of the student.ContentsA certificate of eligibility must set out the social insurance number of the qualifying student and the maximum amount of the financial assistance that may be given to the student.Maximum amount for certain full-time studentsIn the case of a full-time student, the maximum amount, for a province, of a student loan prescribed by regulations made under paragraph 15(1)(j), and in respect of which a certificate of eligibility is issued, is the lesser ofthe amount prescribed for that province, andthe product obtained by multiplyingthe amount determined under subsection (2) for the studentbythe percentage prescribed for that province.EscalatorThe amount referred to in paragraph (4)(a) may be adjusted annually by an escalator determined in accordance with the prescribed formula.Maximum amount for part-time studentsIn the case of a part-time student, the maximum amount, for a province, of a student loan in respect of which a certificate of eligibility is issued is the prescribed amount.Maximum amountThe maximum amount of financial assistance in respect of which a certificate of eligibility is issued, other than a loan to which subsection (4) or (6) applies, is the prescribed amount, or the amount calculated in accordance with the prescribed formulas.IdemThe maximum amount of financial assistance in respect of which a certificate of eligibility is not required is the prescribed amount, or the amount calculated in accordance with the prescribed formulas.1994, c. 28, s. 12; 2008, c. 28, ss. 107, 110
Maximum Amount of Outstanding Student Loans
Maximum amountThe aggregate amount of student loans made under this Act that are outstanding may not exceed the prescribed amount.1994, c. 28, s. 13; 2000, c. 14, s. 18; 2011, c. 24, s. 154
Alternative Payments
Alternative paymentWhere the government of a province has, at least twelve months before the beginning of a loan year, notified the Minister in writing that a provincial student financial assistance plan will be in operation in that province in that loan year and that it does not wish, or no longer wishes, to participate in the plan established by this Act and the regulations, the Minister shall pay to the province, not later than six months after the end of that loan year and each following loan year in which it does not participate in the plan, an alternative amount for the loan year, calculated as provided in this section.Non-participating provincesThe government of a province that, on the coming into force of this section, is not participating in the student loan plan established by the Canada Student Loans Act is deemed to have notified the Minister as described in subsection (1) in respect of the loan year in which this section comes into force.Opting in, or opting back inThe government of a province that is not participating in the plan established by this Act and the regulations but later wishes to participate may do so by so notifying the Minister in writing at least six months, or such shorter period as the Minister may fix, before the beginning of the loan year in which it wishes to participate.Calculation of alternative amountThe alternative amount for a province for a loan year (in this subsection referred to as the “current loan year”) is the amount, as determined by the Minister after consultation with the Chief Statistician of Canada, obtained bymultiplyingthe net per capita costs for participating provinces for the loan year beginning on August 1, 1990,bythe product obtained by multiplying the estimated number of persons in that province who, on the first day of the current loan year, have attained eighteen years of age and have not attained twenty-five years of age by the escalator determined under subsection (5), for each loan year in the period beginning on August 1, 1991 and ending on July 31 of the current loan year; andsubtracting from the product obtained under paragraph (a) the net costs for that province for the current loan year.EscalatorFor the purposes of subparagraph (4)(a)(ii),subject to paragraph (b), the escalator for a loan year is a fraction of whichthe numerator is the net per capita costs for participating provinces for that loan year, andthe denominator is the net per capita costs for participating provinces for the previous loan year; andthe escalator for the first loan year in which a provincial student financial assistance plan will be in operation in the province, as stated in the notice under subsection (1), is a fraction of whichthe numerator is the net per capita costs for participating provinces for that first loan year, andthe denominator is the net per capita costs for the previous loan year for provinces that are participating provinces in that first loan year.DefinitionsIn this section,net costs, for a province for a loan year, means the amount determined by the formula (A + B) - (C + D)whereAis the estimated aggregate of all amounts paid by the Minister in that loan yearto lenders, service providers or financial institutions under this Act, the regulations or an agreement entered into under section 5, 6.2 or 6.3, to lenders under the Canada Student Loans Act or the regulations made under that Act, and to collection agencies, in respect of student loans or guaranteed student loans made pursuant to certificates of eligibility issued or caused to be issued in any loan year by the appropriate authority for that province, andto persons pursuant to regulations made under paragraph 15(1)(p),excludingany amounts paid pursuant to paragraph 5(e) or pursuant to regulations made under paragraph 15(1)(o) that provide for the repayment of student loans by borrowers on an income-contingent basis, andany provincial share paid pursuant to an agreement or arrangement made under subparagraph 18(b)(ii),Bis the estimated aggregate ofthe amount of interest calculated in that loan year in respect of outstanding loans referred to in the description of A made under an agreement entered into under section 6.1, at the rate of interest fixed or determined in accordance with subsection 20(2),the amount by which the outstanding principal in respect of all loans referred to in paragraph (a) has been reduced in that loan year in accordance with the regulations,the amount of the outstanding principal and interest in respect of all loans referred to in paragraph (a) for which the borrower’s obligations have terminated in that loan year as a result of the death or disability of the borrower, andthe amount of the outstanding principal and interest in respect of all loans referred to in paragraph (a) for which the Minister has commenced collection action in that loan year, minus the amount of the outstanding principal and interest in respect of loans referred to in that paragraph for which the Minister has ended collection action in that loan year due to the occurrence of an event set out in the regulations that resulted in the removal of restrictions to financial assistance,Cis the estimated aggregate of all amounts received by or on behalf of Her Majesty in right of Canada in that loan year, including any amount received pursuant to the Financial Administration Act, in respect of loans referred to in the description of A, other than loans made under an agreement entered into under section 6.1, excludingany amounts received pursuant to paragraph 5(e) or pursuant to regulations made under paragraph 15(1)(o) that provide for the repayment of student loans by borrowers on an income-contingent basis, andany amounts received by or on behalf of Her Majesty in right of Canada in respect of a provincial share paid pursuant to an agreement or arrangement made under subparagraph 18(b)(ii), andDis the estimated aggregate ofthe amount of interest received by or on behalf of Her Majesty in right of Canada in that loan year in respect of loans referred to in the description of A that were made under an agreement entered into under section 6.1, andany amounts received in that loan year pursuant to collection action taken by the Minister in respect of loans referred to in paragraph (a). (coût net)net per capita costs, for participating provinces for a loan year, means a fraction of whichthe numerator is the amount by which the total program net costs for that loan year exceed the aggregate of the net costs for that loan year for all provinces that are not participating provinces in that loan year, andthe denominator is the estimated number of persons in the participating provinces who, on the first day of the loan year, have attained eighteen years of age and have not attained twenty-five years of age; (coût net par tête)total program net costs, for a loan year, means the amount determined by the formula(A + B) - (C + D)whereAis the aggregate of all amounts paid by the Minister in that loan yearto lenders, service providers or financial institutions under this Act, the regulations or an agreement entered into under section 5, 6.2 or 6.3, to lenders under the Canada Student Loans Act or the regulations made under that Act, and to collection agencies, in respect of student loans or guaranteed student loans made pursuant to certificates of eligibility issued or caused to be issued in any loan year by the appropriate authorities for participating provinces, andto persons pursuant to regulations made under paragraph 15(1)(p),excludingany amounts paid pursuant to paragraph 5(e) or pursuant to regulations made under paragraph 15(1)(o) that provide for the repayment of student loans by borrowers on an income-contingent basis, andany provincial share paid pursuant to an agreement or arrangement made under subparagraph 18(b)(ii),Bis the aggregate ofthe estimated amount of interest calculated in that loan year in respect of outstanding loans referred to in the description of A made under an agreement entered into under section 6.1, at the rate of interest fixed or determined in accordance with subsection 20(2),the amount by which the outstanding principal in respect of all loans referred to in paragraph (a) has been reduced in that loan year in accordance with the regulations,the amount of the outstanding principal and interest in respect of all loans referred to in paragraph (a) for which the borrower’s obligations have terminated in that loan year as a result of the death or disability of the borrower, andthe amount of the outstanding principal and interest in respect of all loans referred to in paragraph (a) for which the Minister has commenced collection action in that loan year, minus the amount of the outstanding principal and interest in respect of loans referred to in that paragraph for which the Minister has ended collection action in that loan year due to the occurrence of an event set out in the regulations that resulted in the removal of restrictions to financial assistance,Cis the aggregate of all amounts received by or on behalf of Her Majesty in right of Canada in that loan year, including any amount received pursuant to the Financial Administration Act, in respect of loans referred to in the description of A, other than loans made under an agreement entered into under section 6.1, excludingany amounts received pursuant to paragraph 5(e) or pursuant to regulations made under paragraph 15(1)(o) that provide for the repayment of student loans by borrowers on an income-contingent basis, andany amounts received by or on behalf of Her Majesty in right of Canada in respect of a provincial share paid pursuant to an agreement or arrangement made under subparagraph 18(b)(ii), andDis the aggregate ofthe amount of interest received by or on behalf of Her Majesty in right of Canada in that loan year in respect of loans referred to in the description of A that were made under an agreement entered into under section 6.1, andany amounts received in that loan year pursuant to collection action taken by the Minister in respect of loans referred to in paragraph (a). (coût net total du programme)ExceptionThe following amounts shall be included in the calculations described in the definitions net costs and total program net costs in subsection (6) only if the government of the province satisfies the Minister, by written notice received by the Minister before the beginning of the loan year in question, that, in relation to the matter in question, the provincial student financial assistance plan has substantially the same effect as the plan established by this Act and the regulations:amounts that are determined as a result of the application of subparagraph 5(a)(viii), section 7, as that section read from time to time before April 1, 2023, or section 10 or 11;amounts in relation to programs established by regulations made under paragraph 15(1)(l), (m) or (p); andin respect of loans made under an agreement entered into under section 6.1, amounts in relation to a termination of a borrower’s obligations under section 10.1 or 11.1 or to a reduction in the outstanding principal resulting from the operation of regulations made under paragraph 15(1)(o), other than regulations that provide for the repayment of student loans by borrowers on an income-contingent basis.[Repealed, 2022, c. 19, s. 159]Negative amountsIf the amount determined by the formula “(A + B) - (C + D)” in subsection (6) would, but for this subsection, be a negative amount, it is deemed to be zero.1994, c. 28, s. 14; 2000, c. 14, s. 19; 2003, c. 15, s. 10; 2005, c. 30, s. 112; 2008, c. 28, s. 1102022, c. 19, s. 159
Regulations
RegulationsThe Governor in Council may make regulationsdefining the words and expressions referred to in subsection 2(2);providing for the assignment between lenders of agreements between borrowers and lenders, and prescribing the conditions and consequences of such assignments;providing for the transfer between branches of a lender of agreements between borrowers and that lender, and prescribing the conditions and consequences of such transfers;providing for the manner of completing certificates of eligibility, and prescribing the provisions to be included in those certificates;respecting the issuance of certificates of eligibility and providing for their subsequent submission by the issuees;providing for the conditions to be met before a disbursement in respect of a student loan may be made;defining the term “financial institutions” for the purposes of section 6.3 and providing for the circumstances under which financial institutions may disburse student loans to qualifying students;prescribing the maximum number of weeks or periods of studies that may elapse after which, notwithstanding anything in this Act, the principal amount of a student loan made to a full-time student, and interest thereon, commence to be payable by the borrower;respecting the circumstances in which an amount on account of principal or interest is not required to be paid in respect of student loans;prescribing the circumstances in which a borrower is or ceases to be a full-time student;respecting the subrogation of Her Majesty in right of Canada to the rights of a lender;prescribing the circumstances under which a loan or a certificate of eligibility may be denied to a student;prescribing student loans to which section 8, 10 or 11 or subsection 12(4) applies;[Repealed, 2022, c. 19, s. 160]respecting the circumstances in which no fees may be charged to members of the reserve force on their student loans;respecting the circumstances in which no amount on account of principal or interest is required to be paid by members of the reserve force in respect of their student loans;respecting the payment of interest under subsection 9(2);providing, in respect of student loans made to full-time and part-time students, for the gratuitous payment, including the method of calculating it, whether conditionally or unconditionally, by the Minister to lenders of amounts in respect of such loans, and for the discharge of such loans to the extent of those amounts;notwithstanding any other provision of this Act, providing for the operation of a student loan program for part-time students, including the determination of a student’s status, terms of repayment of the loans, the advancement of loan funds and the maximum number of weeks or periods of studies that may elapse after which the principal amounts of the loans commence to be payable by the borrowers;[Repealed, 2022, c. 19, s. 160]providing, in respect of any province, for repayment of student loans by borrowers or classes of borrowers on an income-contingent basis, or for the establishment and operation of a student loan program that is financed by Her Majesty in right of Canada or any agent of Her Majesty in right of Canada and that may provide for the repayment of student loans by borrowers or classes of borrowers on an income-contingent basis;prescribing the amount that may be forgiven in respect of a year under section 9.2 in respect of a student loan;prescribing the maximum number of years in respect of which amounts may be forgiven under section 9.2 in respect of a student loan;providing for the establishment and operation of grant programs, and additional grant programs for qualifying students whose financial needs are greater than the maximum amount of the financial assistance that may be given to the student, for the classes of persons who are eligible for grants and for the circumstances in which all or part of a grant is to be repaid or converted into a loan;prescribing anything that is to be prescribed by the regulations; andgenerally, for carrying into effect the purposes and provisions of this Act.Maximum aggregate amount of outstanding student loansOn the Minister’s recommendation with the Minister of Finance’s concurrence, the Governor in Council may make regulations, for the purposes of section 13,prescribing the aggregate amount of outstanding student loans that may not be exceeded; andprescribing the student loans that are to be considered for the purposes of determining, at a given time, the aggregate amount of outstanding student loans.[Repealed, 2013, c. 40, s. 234]1994, c. 28, s. 15; 1998, c. 21, s. 100; 2000, c. 14, s. 20; 2005, c. 34, s. 63; 2008, c. 15, s. 3, c. 28, s. 108; 2011, c. 24, s. 155; 2013, c. 40, s. 2342022, c. 19, s. 160
General
Documents and informationAnyform or other document to be used in connection with giving financial assistance to students, or otherwise for the effective operation of this Act, orinformation to be included in any document referred to in paragraph (a), in addition to the information otherwise required by this Act or the regulations to be included in such a document,must be either determined by the Minister or approved by the Minister.
Right of recovery by MinisterA student loan that is made to a borrower who is not of full age under an agreement entered into under section 6.1, and interest on the loan, is recoverable by the Minister from the borrower as though the borrower had been of full age at the time the agreement was entered into.2008, c. 28, s. 109
WaiverOn application by a qualifying student or a borrower, the Minister may, to avoid undue hardship to the student or borrower, waivea requirement of the regulations with respect to the times within which the student or borrower’s confirmation of enrolment or certificate of eligibility is to be submitted; ora requirement of the regulations, or a requirement determined or approved by the Minister, with respect to the form or manner in which information in respect of the student or borrower is to be provided.2008, c. 28, s. 109
Financial assistance denied due to errorIf the Minister is satisfied that a person was denied financial assistance to which the person would have been entitled as a result of an error made in the administration of this Act or the regulations, the Minister may take remedial action to place the person in the position that he or she would have been in under this Act had the error not been made.2008, c. 28, s. 109
Limitation periodSubject to this section and section 16.2, no action or proceedings shall be taken to recover money owing under a student loan more than six years after the day on which the money becomes due and payable.Deduction and set-offMoney owing under a student loan may be recovered at any time by way of deduction from or set-off against any sum of money that may be due or payable by Her Majesty in right of Canada to the borrower or the estate or succession of the borrower.Acknowledgment of liabilityIf a borrower’s liability for money owing under a student loan is acknowledged in accordance with subsection (4), the time during which the limitation period has run before the acknowledgment does not count in the calculation of that period.Types of acknowledgmentsAn acknowledgment of liability meansa written promise to pay the money owing, signed by the borrower or his or her agent or other representative;a written acknowledgment of the money owing, signed by the borrower or his or her agent or other representative, whether or not a promise to pay can be implied from it and whether or not it contains a refusal to pay;a part payment by the borrower or his or her agent or other representative of any money owing; orany acknowledgment of the money owing made by the borrower, his or her agent or other representative or the trustee or administrator in the course of proceedings under the Bankruptcy and Insolvency Act or any other legislation dealing with the payment of debts.Acknowledgment after expiry of limitation periodIf a borrower’s liability for money owing under a student loan is acknowledged in accordance with subsection (4) after the expiry of the limitation period in respect of the loan, an action or proceedings to recover the money may, subject to subsections (3) and (6), be brought within six years after the date of the acknowledgment.Limitation period suspendedThe running of a limitation period in respect of a student loan is suspended during any period in which it is prohibited to commence or continue an action or other proceedings against the borrower to recover money owing under the loan.Enforcement proceedingsThis section does not apply in respect of an action or proceedings relating to the execution, renewal or enforcement of a judgment.2003, c. 15, s. 11
ApplicationThis section applies only in respect of the recovery of money that became due and payable under a student loan before the coming into force of this section.Limitation periodSubject to this section, no action or proceedings shall be taken to recover money owing under a student loan more than six years after the day on which the limitation period that applied before the coming into force of this section started to run.Prior acknowledgmentsFor the purposes of subsection (2), the day of the most recent acknowledgment of a borrower’s liability in respect of money owing under a student loan is deemed to be the day on which the limitation period started to run ifthe acknowledgment was made before the coming into force of this section; andunder the law applicable at the time of the acknowledgment, the time during which the limitation period ran before the acknowledgment did not count in the calculation of that period.Deduction and set-offMoney owing under a student loan may be recovered at any time by way of deduction from or set-off against any sum of money that may be due or payable by Her Majesty in right of Canada to the borrower or the estate or succession of the borrower.Acknowledgment of liabilityIf, on or after the day on which this section comes into force, a borrower’s liability for money owing under a student loan is acknowledged in accordance with subsection (6), the time during which the limitation period has run before the acknowledgment does not count in the calculation of that period.Types of acknowledgmentsFor the purposes of subsections (5) and (7), an acknowledgment of liability meansa written promise to pay the money owing, signed by the borrower or his or her agent or other representative;a written acknowledgment of the money owing, signed by the borrower or his or her agent or other representative, whether or not a promise to pay can be implied from it and whether or not it contains a refusal to pay;a part payment by the borrower or his or her agent or other representative of any money owing; orany acknowledgment of the money owing made by the borrower, his or her agent or other representative or the trustee or administrator in the course of proceedings under the Bankruptcy and Insolvency Act or any other legislation dealing with the payment of debts.Acknowledgment after expiry of limitation periodIf, after the expiry of the limitation period in respect of a student loan — including any limitation period that expired before the coming into force of this section — and on or after the day on which this section comes into force, a borrower’s liability for money owing under the loan is acknowledged in accordance with subsection (6), an action or proceedings to recover the money may, subject to subsections (5) and (8), be brought within six years after the date of the acknowledgment.Limitation period suspendedThe running of a limitation period in respect of a student loan is, commencing on the day on which this section comes into force, suspended during any period in which it is prohibited to commence or continue an action or other proceedings against the borrower to recover money owing under the loan.Statutory barSubject to subsection (7), if the limitation period in respect of a student loan expired before the coming into force of this section, no action or proceeding shall be taken to recover money owing under the loan.Enforcement proceedingsThis section does not apply in respect of an action or proceedings relating to the execution, renewal or enforcement of a judgment.2003, c. 15, s. 11
Requirement to provide information or documentsFor the purpose of verifying compliance or preventing non-compliance with this Act, the Minister may, by notice served personally or by confirmed delivery service, require any person who has received financial assistance to provide to the Minister, within the time and in the manner that are stipulated in the notice, any information or document that is in their possession or to which they could reasonably be expected to have access.Copies as evidenceWhen a document is provided in accordance with subsection (1), the Minister may make, or cause to be made, one or more certified copies of it and any such copy is evidence of the nature and content of the original document and has the same probative force as the original document would have if it were proven in the ordinary way.2009, c. 2, s. 362
False statement or informationEvery person who, in respect of a student loan or other financial assistance to a student, knowingly makes any false statement or misrepresentation, including by omission, in an application or other document or knowingly provides any false or misleading information, including by omission, is guilty of an offence and liable on summary conviction to a fine not exceeding $1,000.Limitation periodA prosecution for an offence under this Act may not be instituted later than six years after the time when the subject matter of the complaint arose.1994, c. 28, s. 17; 2009, c. 2, s. 363
Administrative measuresIf a person, in respect of a student loan or other financial assistance to a student, knowingly makes any false statement or misrepresentation, including by omission, in an application or other document or knowingly provides any false or misleading information, including by omission, the Minister maydeny the person financial assistance for a prescribed period;[Repealed, 2022, c. 19, s. 161]deny the person the deferral of payments of principal or interest under section 8 for a prescribed period, or terminate the deferral;deny the person payments of interest under subsection 9(2) for a prescribed period, or terminate the payments;deny the person a gratuitous payment referred to in paragraph 15(1)(l);[Repealed, 2022, c. 19, s. 161]deny the person repayment of a student loan on an income-contingent basis referred to in paragraph 15(1)(o) for a prescribed period, or terminate repayment on an income-contingent basis;require the person to immediately repay any outstanding amount of a student loan that they obtained by reason of the false statement or misrepresentation or the false or misleading information; orrequire the person to immediately repay any grant that they obtained by reason of the false statement or misrepresentation or the false or misleading information.Outstanding student loansIf, before the day on which this section comes into force, a person knowingly made any false statement or misrepresentation, including by omission, in an application or other document or knowingly provided any false or misleading information, including by omission, in respect of a student loan that is outstanding on that day, the Minister may take any measure set out in paragraphs (1)(a) to (h).NoticeThe Minister may not take any measure under subsection (1) or (2) without having given the person 60 days’ notice of the Minister’s intention to take the measure.SubmissionsThe person may make submissions to the Minister in respect of the measure at any time.Rescission or modification of measureThe Minister may rescind or modify a measure taken under subsection (1) or (2) if new facts are presented or the Minister considers that the measure was taken without knowledge of some material fact or on the basis of a mistake concerning one.Limitation or prescriptionThe Minister may not take any measure under subsection (1) or (2) later than six years after the day on which he or she becomes aware of the false statement or misrepresentation or the false or misleading information.2009, c. 2, s. 363; 2011, c. 24, s. 1562022, c. 19, s. 161
Authority to enter into agreements and arrangementsThe Minister mayenter into agreements or arrangements with any department, board or agency of the Government of Canada or any other public or private organization or agency to assist the Minister in carrying out the purposes and provisions of this Act; andwith the approval of the Governor in Council, enter into agreements or arrangements with the government of any provinceto facilitate the administration or enforcement of this Act or to provide for administrative fees, andto harmonize and administer federal and provincial financial assistance programs for students.
Payment out of C.R.F.Any amount payable by the Minister under this Act, the regulations or an agreement or arrangement entered into under this Act, including any student loans to be advanced by the Minister, shall be paid out of the Consolidated Revenue Fund.1994, c. 28, s. 19; 2000, c. 14, s. 21
Chief Actuary to reportThe Chief Actuary of the Office of the Superintendent of Financial Institutions shall, no later than July 31, 2009, prepare and submit to the Minister a report on financial assistance provided under this Act in the loan year that ended on July 31, 2008.Subsequent reportsThe Chief Actuary shall, no later than three years after the end of the loan year during which he or she previously submitted a report to the Minister under subsection (1) or under this subsection, prepare and submit to the Minister a subsequent report on financial assistance provided under this Act in the loan year or years since the last loan year covered by the previous report. The report shall cover a period that ends on the end of the loan year that precedes the submission of the report.Contents of reportThe Chief Actuary shall include the following in a report made under this section:an actuarial estimate of the current costs of financial assistance provided under this Act, and of revenues from that assistance;an actuarial forecast of the costs of financial assistance that is to be provided under this Act for the 25 years that follow the last loan year that is covered by the report, and of revenues from that assistance; andan explanation of all of the actuarial and economic assumptions and the actuarial methodology used in the preparation of the report.Report to be laid before ParliamentThe Minister shall cause the report to be laid before the Senate and the House of Commons on the day after the day on which the report is submitted or, if that House is not then sitting, on any of the first 15 days afterwards that it is sitting.2009, c. 2, s. 364
Report to ParliamentThe Minister shall, each calendar year, prepare a report with respect to the administration of this Act during the loan year that ended in the immediately preceding calendar year, and shall cause a copy of the report to be laid before each House of Parliament on any of the first fifteen days on which that House is sitting after the report is completed.Interest ratesThe Minister, with the concurrence of the Minister of Finance and subject to the approval of the Governor in Council, shall fix a rate of interest, or a manner of determining a rate of interest, for the purposes of paragraph (a) of the description of B in the definitions net costs and total program net costs in subsection 14(6).1994, c. 28, s. 20; 2003, c. 15, s. 12
Transitional Provisions
Interest-free period — loan to full-time studentIf a borrower ceased to be a full-time student at any time during the six months before the day on which section 325 of the Budget Implementation Act, 2019, No. 1 comes into force, no interest is payable by them on a student loan referred to in paragraph 7(1)(a), as it read on November 1, 2019, for the period that begins on that day and ends on the last day of the sixth month after the month in which the borrower ceased to be a full-time student.Interest-free period — loan to part-time studentIf a borrower ceased to be a student, whether a part-time or full-time student, at any time during the six months before the day on which section 325 of the Budget Implementation Act, 2019, No. 1 comes into force, no interest is payable by them on a student loan referred to in paragraph 7(1)(b), as it read on November 1, 2019, for the period that begins on that day and ends on the last day of the sixth month after the month in which the borrower ceased to be a student, whether a part-time or full-time student.2019, c. 29, s. 3262022, c. 19, s. 162
Amendments to Canada Student Loans Act
[Amendments]
Consequential Amendments
[Amendments]
Coming into Force
Coming into forceThis Act or any provision of this Act shall come into force on a day or days to be fixed by order of the Governor in Council.[Note: Act in force August 1, 1995, see SI/95-77.]
RELATED PROVISIONS — 2005, c. 34, s. 54
Student financial assistanceThe repeal of paragraph 15(k) of the Canada Student Financial Assistance Act and section 41 of the Canada Student Financial Assistance Regulations does not affect the validity of the collection, use and disclosure of information, or the authorization of a borrower, made under those provisions.
2024, c. 172025-12-122022, c. 192023-12-092022, c. 192023-04-012021, c. 232021-06-292021, c. 72021-05-062020, c. 52020-03-252019, c. 292019-11-01